PROJECT REPORT

ON

ANALYSIS OF MARKETING STRATEGY

OF TATA STEEL
BY

In partial fulfilment for the award of the degree

OF
BACHELOR OF BUSINESS ADMINISTRATION
SUBMITTED TO

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 CERTIFICATE

This is to certify that Entitled “MARKETING STRATEGY OF TATA

STEEL”

The project is the result of his efforts and endeavours. The project is found
worthy of acceptance as final under the guidance of
during the batch 2016-2019

Prof.

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 ACKNOWLEDGEMENT

I take this opportunity to express my profound and deep regards to my faculty

for her exemplary guidance, monitoring and constant encouragement
throughout the course of this Summer Assessment Project.

I would also like to appreciate the guidance given by other professors as well as
subordinates who helped especially in my project.

I would also like to thanks my institution "

Lastly I thank my parents, my family and friends for their constant

encouragement without which this project would not be possible.

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 ABSTRACTS

My experiment`s purpose was to compare the growth rates of iron and steel. I
choose this experiment because I was interested in iron and steel sector. I had
one hypothesis based on one question that what is the demand and growth of
iron and steel in the current Urbanisation phase. TATA STEEL LTD. aspire to
be the global steel industry benchmark for value creation and corporate
citizenship. The Strategic objectives of the project is to make TATA STEEL
LTD. a benchmark in adopting best practices, innovating, exploring new
opportunities for investment in its value chain and in the process, contribute to
community development and nation building under "make in India" campaign.
TATA STEEEL LTD. endeavour to be a sustainable and learning organisation
for setting benchmark in creating value in iron business while doing so, TATA
STEEL LTD. shall continue to remain a responsible corporate citizen.

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 TABLE OF CONTENTS

SL. TITLE PAGE

N NO
O
1. INTRODUCTION 6

2. COMPANY PROFILE 8

3. RESEARCH & 9
METHODOLOGY
4. ANALYSIS & 11
INTERPRETATION
5. MARKETING MIX 13

6. COMPETITIVE 16
ANALYSIS
7. SWOT ANALYSIS 18

8. RESULT AND 19
DISCUSSION
9. FINDINGS, 23
RECOMMENDATIONS
& CONCLUSION
10. FUTURE PROSPECTS 25

11. REFERENCES 26

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INTRODUCTION

BACKGROUND

This report is about TATA STEEL LIMITED (formerly TATA IRON AND STEEL
COMPANY LIMITED) is an Indian multinational steel-making company headquartered in
Mumbai, Maharashtra and a subsidiary of Tata Group. TATA is a name mainly associated
with the consumers for iron and steel for the past ten decades in India. It made its modest
start in the year 1907 in Jamshedpur in the state of Jharkhand. Today the company has
diversified into many more sectors. It is the leader in the Iron And Steel industry and the
second largest steel company in India with an annual capacity of 13 million tonnes. TATA
STEEL is a huge brand and has diversified its activities into various industries. The one
industry where is the leader right now is the Iron And Steel industry. Hence the project
mainly focuses on studying TATA`S IRON AND STEEL division.

TATA STEEL manufactures wide range of products for its customers. The product range
includes iron, cast iron, soft iron, alloy and they also produce chemicals, locomotive parts,
agriculture equipment, machinery, tinplate, cable and wire By specializing in the

manufacturing in the Iron And Steel industry the company has created a niche market .

OBJECTIVES

The objective of the project is to research on the feasible opportunities that are
untapped in the IRON AND STEEL INDUSTRY of Indian economy and
accomplishing the goal by fulfilling the demand of the economy with
sustainable growth and development.

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 RATIONALE

The purpose of this report was to analyse the economic condition of IRON AND STEEL
INDUSTRY under urbanisation era of India and how to layout the marketing strategy under
"MAKE IN INDIA" campaign. TATA STEEL LTD. plans to double the production capacity
and their primary focus areas are to continue with expansion and growth in India. TATA
STEEL has set a target of achieving an annual production capacity of 100 million tons. It is
planning to achieve its target by capacity expansion in existing plants and by acquisitions. To
carry out these report and to accomplish the company`s goal a thorough economic research
of IRON AND STEEL INDUSTRY has been done. We have also analysed the SWOT
analysis for this project and have also studied its risk factor and future growth prospects.

In a developing nation like India where urbanisation is at its peak it is very much certain that
IRON AND STEEL INDUSTRY would flourish if a good detailed plan has been formulated
according to the dynamic market and a good marketing strategy has been laid out.

LIMITATIONS

Although this research was carefully prepared, I am still aware of its limitations and
shortcomings.

1. Most of the data collected about the company being secondary so it can be biased towards
the company.

2. Most of the information was taken from secondary sources being based on previously
printed data.

3. The study focuses on one company only which may not present the performance of the
whole industry.

4. The study focuses on one company thus the conclusion cannot be taken for the whole
economy.

5. Some of the details are collected from the internet and their accuracy is not tested.

6. Sampling and non-sampling errors might have crept in and attempt is made to minimize
them.

7. Since the topic was very vast and difficult it was not possible to touch each and every
aspect of the topic in a short time period.

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 COMPANY PROFILE
NAME TATA STEEL

COMPANY LOGO
TYPE PUBLIC
FOUNDED 25TH AUGUST 1907
FOUNDER JAMSETJI
NUSSERWANJI TATA
HEADQUARTERS MUMBAI,
MAHARASHTRA,INDIA
PRODUCTS STEEL, FLAT STEEL,
LONG STEEL, WIRE
PRODUCTS, PLATES
REVENUE US $ 18 BILLION
PARENT TATA GROUP

MATERIALS AND METHODS

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 RESEARCH METHODOLOGY

The study is an exercise involving estimation of parameters and the untapped potential
opportunities in the Iron And Steel industry as per the Organisational requirements. Research
was designed so as to get the relevant information that can be used for various organisational
purpose.

RESEARCH DESIGN
SCALING TECHNIQUE
SAMPLING
DATA COLLECTION

RESEARCH DESIGN

1 .Types of Information`s Required.

a) What are the different brands of steel products available in the market.

b) what are the possible demands for Iron and Steel in the market.

c) What are the possible opportunities where TATA STEEL can excel.

d) What are the variables factors customer takes into account while purchasing an iron and
steel product.

Sources Of Information
a)Primary Source

1) A pilot survey was conducted in iron and steel factory in Siliguri, West Bengal to know
the various viable factors a customer takes into account while purchasing iron and steel
products.

2) A pilot survey was also conducted to know the various marketing strategy for the product.

3) An unstructured interview was taken of the manager and sales officers in the factory to
know about the strategies related to incentive schemes, warehousing, promotions and target

set for the dealers .

Exploratory Research: It is that type of research design that the primary objective is to
provide insights into and comprehension of the problem situation confronting the researcher.

This was done by having a discussion with the manager and the sales person of the TATA
STEEL.

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 Information was also collected by going through the annual sales report of TATA STEEL and
various journals of TATA STEEL.

Descriptive Research: It is a type of conclusive research that has its major objective the
description of something usually market out the following characteristics or functions:

A list of various authorised dealers involved in the sales of TATA STEEL was prepared.

The counter potential of every retail outlet was found.

The strength and weakness of TATA STEEL was assessed by interacting the retailers.

Sample Element: It is a type of research that possess the information sought by the
researchers and about which inferences are to be made.

In our project the sample element are the various retailers who are certified TATA STEEL,
non-certified TATA STEEL, as well as non-TATA dealers.

Sample Extent: Extent refers to the geographical boundaries under consideration.

In our project the sample extent was the various districts of Jamshedpur.

b) Secondary source

1) The information regarding the various products of TATA STEEL are available was
retrieved from the TATA STEEL BROCHURE. The brochure contained the information
about the size and category in which TATA STEEL products are available, the different
specifications and the mill in which they are produced.

2) Data also gathered from internet, publications, articles, company annual reports etc.

3) Data related to the sale and promotion of TATA STEEL obtained from the company`s
annual report.

4) Data collected after going through the annual planning report of TATA STEEL, sales
report & various journals published from TATA STEEL.

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 ANALYSIS AND INTERPRETATION

ECONOMY ANALYSIS

The performance of a company depends on the performance of the economy, as it impact the
companies in the numerous ways. The industry is one of the key drivers of India`s economic
growth. India is the third largest steel producer in the world. In 2015, India produced 91.46
million tonnes of finished steel. Total finished steel production in the country increased at a
CAGR of 7.45% over FY011-15.

Driven by rising infrastructure development and growing demand for automotive, steel
consumption is expected to reach 104 MT by 2017. India`s steel production is expected to
increase from 100 MTPA to 300 MTPA by 2025. The Government of India has allowed
100% FDI in the steel sector.

A new scheme, "The scheme for the promotion of R&D in the iron and steel sector" has been
approved with budgetary provision of US$ 24.6 million to initiate and implement the
provisions of the scheme as per 11th Five Year Plan.

In FY17(1),crude steel production in India was 72.35 MT, with the total crude steel
production growing at CAGR of 4.90 % over the last 5 years & reached 89.79 MT in FY16.

COMPANY ANALYSIS(TATA STEEL)

TATA STEEL has manufacturing operations in 26 countries, including Australia, China,

India, Netherlands, Singapore, Thailand, and the United Kingdom and employees around
80,500 people. Its largest plant is located in Jamshedpur, Jharkhand. In 2007 TATA STEEL
acquired the UK based steel maker Corus which was the largest international acquisition by
an Indian company. On February 12, 2012 TATA STEEL completed 100 years of steel
making in India.

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 INDIA`S OPERATIONS

TATA STEEL founded India`s first industrial city, now Jamshedpur, where it established
India`s first integrated steel plant in 1907. The Jamshedpur works currently comprises of a
9.7 MT pa crude steel production facility and a variety of finishing mills. Two new
Greenfield steel projects are planned in the states Jharkhand and Chhattisgarh. Kalinganagar
project is underway; it is set to augment production capacity by 3 MT pa in the first phase.

TATA STEEL RELATIVE MARKET CAP IN INDIA

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 EXPANSION PLANS

TATA STEEL has set a target of achieving an annual production capacity of 100 million
tons. It is planning for capacity expansion to be balanced roughly 50:50 between greenfield
developments and acquisitions. Overseas acquisitions have already added an additional 21.4
million tonnes of capacity, including Corus (18.2 million tonnes), NatSteel (2 million tonnes)
and Millennium steel (1.2 million tonnes). TATA plans to add another 29 million tonnes of
capacity through acquisitions.

MAJOR GREENFIELD STEEL PLANT EXPANSION PROJECTS PLANNED BY TATA

STEEL

A 6 million tonne per annum capacity plant in Kalinganagar,

Odisha, India.

An expansion of the capacity of its plant in Jharkhand, India from 6.8 to 10 million tonnes
per annum.

A 5 million tonne per annum capacity plant in Chhattishgarh, India.

A 3 million tonne per annum capacity plant in Iran.

2.4 million tonne per annum capacity plant in Bangladesh.

2.5 A 10.5 million tonne per annum capacity plant in Vietnam.

A 6 million tonne per annum capacity plant in Haveri, Karnataka.

MARKETING MIX

Marketing Mix of Tata Steel analyses the brand/company which covers 4Ps (Product, Price,
Place, Promotion) and explains the business & marketing strategies of Tata Steel.

Product:
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Tata Steel products mainly consist of products manufactured by Indian operations and those
by NatSteel Singapore and Thailand operations. It also consists of Corus products mainly
manufactured at UK and Netherlands. All these Tata Steel products are a part of its
marketing mix strategy. Tata Steel Products: Finished and semi finished steel products viz.
flat products (hot rolled, cold rolled and galvanized) and long products including wire rod
and rebars. Ferroy alloy products consist of chrome ore, manganese ore and ferro chrome
and ferro manganese. This shows the tremendous range and depth of Tata Steel products.

Corus Products: Strip product, Long product, Aluminium. Corus one of the market leaders in
production of coated strip products in coil form and sheet form. Long products comprise of
sections and plates. Thus, all these show a diverse product range of Tata Steel.

Price:
Tata Steel is a leading steel manufacturer not only in India, but in the world. In steel
industries there are various factors that affect the pricing of the products. Like other
companies, the marketing mix pricing strategy of Tata Steel is also dependent on various
factors. Some of the major factors are as follows:

1. Cost of production

2. Demand in the market

3. Government regulations

4. Competitions

Tata steel is well known for keeping its production cost very low. This gives Tata Steel a
competitive advantage over others. There are various reasons as to why the company’s
production is so low compared to other competitors. Few of them are:

Tata Steel acquires its raw materials and other products required both from the domestic
market as well as globally. The company has coal mines in Jharia and Bokaro. The mines in
Bokaro has reserves of around 196 million tonnes. It also owns iron ores and chromites
mines in other parts of the country.
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 Tata steel has used technologies which help them keep the production cost low thus helping
it maintain the good quality as well as keep the price low.

The demand for steel has also increased in recent years. Also one more advantage of Tata
Steel’s is that their iron

ore reserves are much more than their current needs thus giving them an advantage.

Tata Steel has adapted Market Penetration as their pricing strategy. They assume that the
demand of the product is highly elastic. So, capability of Tata Steel to maintain low price
helps them maintain a huge customer base.

Place:
Tata Steel maintains its distribution in Indian market via:

1. Direct supply chain

2. 21 stockyards

3. 25 agents for consignment

With growing use of information technology Tata Steel majorly distributes and sells its
products through Junctions , being the Country`s largest e-commerce platform for steel.
Such online transaction provides speedy processing and efficiency to the company. This
shows the strong marketing mix place and distribution strategy of Tata Steel. Also the steel
junction owned by Tata has opened its branch in various parts of the country, both urban and
semi urban areas. This has increased the distribution network of Tata Steel. They had a wide
network of distributors and retail outlet thus making the products easily available.

Promotion:
Tata Steel is a business to business brand, and has no direct business with the consumer. In
B2B Marketing, promotion and advertising plays an important role in order to increase the
sales.

TATA steel started branding its product in order reach to customers in an efficient way. Its
strategy mainly focussed on branding and moving to high value added products. Certain
internal campaigns were started whose focus was customer. Some taglines such as
“Customer first-haar haal mein” were started. Communication tools used for the Tata Steel

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brand launches were mainly print ads and outdoor advertising. TV commercials were
launched giving messages of happy customers. Hence, this covers the marketing mix of Tata
Steel.

COMPETETIVE ANALYSIS
OF
TATA STEEL

After understanding the 4P`s of marketing pertaining to TATA STEEL it was found out that
TATA STEEL has implemented the marketing mix better as compared to its competitors
which has given them the edge and thus it is one of the leading steel manufacturer in India.
Apart from that there are several advantages that Tata steel has which gives it competitive
advantage.

Harnessing New and Better sources of Raw Materials

One of the biggest strengths of Tata Steel was that it had captive sources for all key raw
materials, coal, iron ore, and limestone. The company began to harness its unutilized
deposits of iron ore at Joda in Orissa.

New Coke Making Technology

Until the late eighties, Tata Steel, like all other steel manufacturers in India, was importing
large quantities of coking coal as Indian coal has high ash content compared to imported coal
and cannot be used as coking coal.

Reducing Energy Costs

The company embarked on several steps to become self-sufficient in this fuel needs. Earlier,
it used large quantities of liquid fuel from one of the petroleum refineries. Significant
process changes enabled the company to totally stop the use of liquid fuels.
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 Modernization of Facilities
Many of the initiatives discussed above resulted in improving the performance of the
existing assets. Simultaneously, the modernization of the facilities became an important
focus area.

QUALITY and COST at the centre-stage

The top management of TATA STEEL was part of a delegation organized by the
confederation of Indian Industry in the early nineties to study how the Japanese implemented
quality. They found vast differences between the quality practices in Japan and India.

COMPETITOR ANALYSIS IN PROMOTIONAL ACTIVITIES

The main competitors for TATA STEEL are

SAIL

JSW

ISPAT

However if we look at the promotional activities undertaken by JSW and SAIL we can see
that TATA STEEL is well ahead of them in promotions.
JSW basically uses two types of promotional activities

Print media (Business magazines, trade publications and industrial directories).

Direct Marketing (direct mail, datalogs and data sheets).

In case of JSW catalogs and data sheets are the main part of their promotional effort.
However the main drawbacks are that rarely catalogs alone are used to make a purchasing
decisions.
They nearly provide buyer with the basis of comparison with other companies with other
companies product once the decision has been made to purchase a particular product. Data
sheets provide detailed technical information about the product. But sometimes it is a case
that sales people seldom have all the answers that the buyer require. However TATA STEEL
is quite instrumental in its promotional activities as compared to its competitors. Therefore it
adopted a program
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of RETAIL VALUE MANAGEMENT under which the company provided training to sales
people recruited by the retailers to help increase sales.

They have used all channels of promotion to market their product and has equally
emphasized on its promotional activities as compared to its competitor. Because of this there
is tremendous increase in its sales and TATA STEEL is already one of the best banded names
in steel industry and is well placed ahead of its competitors.

SWOT ANALYSIS OF TATA STEEL

STRENGHTS:
1)Raises over 14 million tonnes of ores from its captive collieries
iron ore mines and quarries.
2)Adaptability of company in the fast changing environment.
3)Excellent integration with Corus which has more than 2000 metallurgists.
4)Control over raw materials.
5)Economies of scale.
6)Strong backing of TATA brand name.
7)Operations in 26 countries and a commercial presence in over 50 countries.

WEAKNESSES:
1) Operational efficiency are not as good as international leaders.
2) Slightly lagging in technological front.

OPPORTUNITIES:
1) Newer technologies- The Corex process, The Hismelt process,
Direct iron ore smelting.
2) Public private partnership.
3) Acquisition of coal blocks in Asia, Africa etc.

THREATS:
1) Rising coking coal prices.
2) India is plagued with violent agitation against land acquisitions.
3) Governments & regulatory norms.
4) International competition.

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 RESULT AND DISCUSSION

The project mainly focuses on the expansion of the company and its marketing strategies by
researching and analysing the viable factors of the economy. India is under developing phase
where urbanisation is the main concern in the country so company is heading for the
expansion which is mentioned in the objective of the project. The company has successfully
achieved its expansion goal in the IRON AND STEEL industry which is given below:
INDIA`S EXPANSION:

1) BROWN FIELD EXPANSION AT JAMSHEDPUR, JHARKHAND

2) THE GREENFIELD EXPANSION PROJECT AT ODISHA
3) HALDIA COKE PLANT EXPANSION IN WEST BENGAL
4) CAPACITY EXPANSION IN IRON AND STEEL PLANT AT CHHATTISHGARH
5) CAPACITY EPANSION IN IRON AND STEEL PLANT AT KARNATAKA.
INTERNATIONAL EXPANSIONS:
1) CAPACITY EXPANSION IN IRON AND STEEL PLANT, IRAN
2) CAPACITY EXPANSION IN IRON AND STEEL PLANT, BANGLADESH
3) CAPACITY EXPANSION IN IRON AND STEEL PLANT,VIETNAM

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 CHALLENGES FOR INDIAN STEEL INDUSTRY
Compared to the global average per capita consumption of
150 kgs, India`s per capita consumption of steel is a mere 39 kgs perhaps. Even by Asian
standards India have a long way to go in the consumption of steel. Technologically, the main
hurdles before Indian Steel Industry are the cost of power and non availability of
metallurgical coke.

Un-remunerative prices
Stagnating demand, domestic oversupply, and falling prices in the last four years have hit
Indian steelmakers. Barring the sporadic rise in demand in the recent months, it has suffered
from unremunerative prices to the extent that companies have been finding it difficult to
maintain capital costs.

Endemic Deficiencies
These are inherent in the quality and availability of some of the essential raw materials
available in India, example high ash content of indigenous coking coal adversely affecting
the productive efficiency of iron-making and is generally imported. Advantage of high Fee
content of indigenous ore is often neutralized by high basic index. Besides, certainly key
ingredients of steel making e.g. nickel,ferro-molybdenum is also unavailable indigenously.

Systematic Deficiencies
However, most of the weaknesses of the Indian Steel Industry can be classified as systematic
deficiancies, some of these are described here.

High Cost of Capital

Steel is a capital intensive industry; steel companies in India are charged an interest rate of
around 14% on capital as compared to 2.4% in Japan and 6.4% in USA.

low labour Productivity

In India ,the advantages of cheap labour gets offset by low labour productivity; e.g. at
comparable capacities labour productivity of SAIL and TISCO is t/man year and 100t/man
year, for POSCO, Korea and NIPPON, Japan the values are 1345 t/man year and 980 t/man
year.

High Cost Of Basic Inputs and Services

High administered price of essential inputs like electricity puts Indian Steel Industry at a
disadvantage; about 45% of the input costs of coal, fuel and electricity, e.g. cost of electricity
is 3 cents in the USA as compared to 10 cents in India; and freight costs from Jamshedpur to
Mumbai is $50/ton compared to only $34 from Rotterdam to Mumbai. Added to this are
poor quality and ever increasing prices of coking and non-coking coal.

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 OPPORTUNITIES FOR INDIAN STEEL INDUSTRY

The biggest opportunity before Indian Steel Sector is that there is enormous scope for
increasing consumption of steel in almost all sector is that there is enormous scope for
increasing consumption of steel in almost all sectors in India.

Unexplored Rural Market

The Indian rural sector remains fairly unexposed to their multi-faceted use of steel. The rural
market was identified as a potential area of significant steel consumption way back in the
year 1976 itself. However, forceful steps were not taken to penetrate this segment .
Enhancing applications in rural areas assumes a much greater significance now for
increasing per capital consumption of steel. The usage of steel is cost effective manner is
possible in the area of housing, fencing, structures and other possible applications where
steel can substitute other materials which not only could bring about advantages to users but
is also desirable for conversation of forest resources.

Other Sectors
Excellent potential exists for enhancing steel consumption in other sectors such as
automobiles, packaging, engineering industries, irrigation and water supply in India. New
steel products develop to improve performance simplify manufacturing/installation and
reliability is needed to enhance steel consumption in these sectors. Main objective here have
to improvement of quality for value addition in use, requirement of less material by reducing
the weight and thickness and finally reduction in overall cost for the end user. Latest
technology must be adopted by Indian Steel manufacturers for production superior quality
of steel for these applications. For example pre-coated sheets can be used in manufacture of
Appliances, Furnishings, electric goods and public transport vehicles. Production and supply
of superior grades of steel in desired shapes and sizes will definitely increase the steel
consumption as this will reduce fabrication need; thereby reduce cost of using steel.

Export Market Penetration

It is estimated that world steel consumption will double in next 25 years. Quality
improvement of Indian Steel combined with its low cost advantages will definitely help in
substantial gain in export market.

Potential Rise In Per Capita Steel Consumption

As per the report of the working Group on steel for the 12th plan, there exist many factors
which carry the potential of raising the per capita steel consumption in the country,
Currently estimated at 55 kg. These include among others,
an estimated infrastructure investment of nearly a trillion dollars, a projected growth of
manufacturing from current 8% to 11%-12%, increase in urban population to 600 million by
2030 from the current level of 400 million, emergence of the rural market for steel currently
consuming around 10 kg per annum buoyed by projects like Bharat Nirman, Pradhan Mantri
Gram Sadak Yojna, Rajiv Gandhi Awaas Yojna among others.

Clearance to the stalled projects

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The cabinet Committee on Investments (CCI) has approved the speedy execution of 36
infrastructure projects entailing Investments of Rs. 1,830 billion (US$ 29.28 billion) to boost
investor confidence.

TATA STEEL PRODUCTION AND SALES

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 FINDINGS

1) TATA STEEL Division dominates in Jamshedpur market.

2) Future of India`s economic growth seems to be more optimistic for iron and steel industry.
3) TATA STEEL is also much more ahead in terms of Brand loyalty.
4) With the inflation tightening policies, it seems that soon India will be able to leash the
stubborn inflation.
5) India`s BOP is improving, thus providing favourable environment to the company.
6) From the analysis, I find that it will be lucrative to invest in TATA STEEL and also it
evolves very less risk.
7) The management and overall efficacy, financial strengths also indicate that the company
will be in better position in the looming future.

RECOMMENDATIONS

TATA STEEL should give more emphasis on marketing strategy to increase the sale.

Enhance the channel capacity by implementing channel development programme.

Strengthening retail network in identified territories.

Marketing personnel should interact with the retailers as well as customers on regular basis

Need for additional range of products for catering to new markets.

Increase in sales volume possible only with superior quality.

Tata Steel should also conduct product promotional program regularly.

Tata steel can increase the market share by increasing the distributors.

CONCLUSION
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It is clear that the above mentioned data and information is the evidence for the growth and
development of iron and steel industry in future. India is under an urbanisation phase where
the demand for iron and steel is huge so it is a very positive news for this sector. Although
iron and steel sector is a very important sector of the economy and it comprises a major
portion of GDP.

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 FUTURE PROSPECTS

The company has embarked upon setting up three green field plants in eastern India:

12 MTPA plants in Jharkhand

6 MTPA plant in Orissa

5 MTPA plnt in Chhattisgarh

Jamshedpur steel works will become a 10 MTPA unit

Solution for sales offers based on the Theory of Constraints concept saw stabilisation in the
steel division. The replenishment module was extended to cover 100% of the retail channel
of TATA TISCON, achieved 90% coverage in TATA
SHAKTEE and 60% in TATA steelium.This resulted in a reduction of stock outs in retail
shops and more significantly, a reduction in channel stock. Reliability solutions were
extended to direct customers in the steelium distribution. For the construction project
segment mechanism was implemented under the theory of strains supply chain improvement
initiative which improved the availability of rebars at the warehouses, thereby reducing
instances of dela and loss of orders.
The term focus is on the implention of the “Fit For Future” restructuring in Europe, to
continue with the 3 MTPA expansion project in Jamshedpur and onverseas raw material
projets, to increase production volume in India and optimise working capital management
across the group to preserve liquidity.
Looking towards the future, the steel industrie`s main contribution to the reduction of Co2
emissions should be to further develop the use of by-products and to work with its customers
to help design well, long lasting, more energy and material efficient products. Additionally,
improvements in areas other than primary steel production may offer further opportunities
for Co2 reduction.

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REFERENCES
1)www.tatasteel.co.in
2)www.tatasteel.com
3)www.google.com

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